2015 Q1 sales reach KRW 305.8 billion with operating profit of KRW 9.8 billion / Demonstrable recovery achieved after the shock of 2014 Q4 / Operating profit increased by 653% compared to previous quarter, with current net income turning to surplus
 
Huvis (CEO / Yoo, Bea Keun), a world leader in advanced chemical materials, announced through its disclosure of potential results on the 28th that it is expected to achieve sales of KRW 305.8 billion, operating profit of KRW 9.8 billion, and current net income of KRW 5.5 billion in 2015 Q1 (on a consolidated basis).
 
While sales at Huvis showed a 6% decrease from the previous quarter (2014 Q4), its operating profit increased by 653%, with pre-tax profit and current net income both turning to surplus at KRW 10.6 billion and KRW 8.6 billion, respectively.
 
Year-on-year (2014 Q1), sales and operating profit decreased by 14% and 23% respectively, also decreased of pre-tax profit and current net income of 24% and 35%, respectively.
 
“Operating profit in 2014 Q4 decreased due to one-time charges which totaled approximately KRW 9 billion, with increased labor costs stemming from the ordinary wage system of regular bonus and reflecting the results of a tax investigation,” said a Huvis official. “By resolving these issues, profits have been able to increase significantly compared to the previous quarter.
 
He also explained, “Our operating profit decreased year-on-year because of the one-time charge of KRW 4 billion followed by the increase in power costs associated with the repair work on the obsolete boiler repair work at the Jeonju factory in Q1. The KRW 4.2 billion in dividend income of HuvisWater, which was acquired at the end of last year, was a factor that can improve pre-tax profit and current net income, but this was not reflected in the consolidated statement.”